A minimum wage law distorts the market for low-wage labour. To reduce this distortion, some economists advocate
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A minimum wage law distorts the market for low-wage labour. To reduce this distortion, some economists advocate a two-tiered minimum wage system, with a regular minimum wage for adult workers and a lower,
‘sub-minimum’ wage for teenage workers. Give two reasons why a single minimum wage might distort the labour market for teenage workers more than it would the market for adult workers.
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